Redundancies can arise for various reasons; these include the closure of a business or changes within the business leading to a reduction in work.

Statutory Redundancy Procedure

Statutory redundancy procedure is such that if an employee is made redundant, then as long as they have been working for the company for at least two years, then due to redundancy law, they are entitled to a statutory redundancy payment from their employer. If the company has a redundancy scheme in place, the employer has to honor this as well as the statutory entitlement. If the statutory redundancy payment is not made the employee can submit a claim to the Employment Tribunal within 6 Months.

Employees are entitled to be forewarning about possible redundancies and the employer must work to a set criterion when deciding whom to make redundant. If an employee feels that the redundancy is unjustified or was not carried out in a fair manner, with inadequate consultation and no consideration of alternative employment, he/she may be able to claim for unfair redundancy dismissal. He/she would have to have at least one year's service and would need to submit the claim to an Employment Tribunal within 3 months minus one day from the dismissal date.

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